Thursday, June 04, 2009

UPDATED : ICE , DOT - CARB Serving Search Warrants Today

I had a call earlier today that ICE , DOT, and CARB had been at RB today doing some investigating. The investigators looked at a couple of the ex-Motorex cars, called the DOT and ended up leaving from RB with only photos.

I called over to Kaizo to see what was happening over there, and I was informed that they were in the middle of it.

Some new information from an RX-7 forum. One poster says ICE had this to say

... ICE said that pretty much the skylines from kaizo are contra band. They are taking a snippet of the law from one part, and another snippet of law from another part. (regarding chassis and smog/manufacturer liabilities). He did say they are not far off from doing it completely legit though...

He asked if i knew anyone with a kaizo car, (dont worry i didnt rat you out :] ) but he said, that as long as you get your cali-smog expempt at the begining of each year, you are fine and there is nothing they can do against you.

He also said tht AZ and FL are the only states that dont give a crap about such things and thats why they are so popular to have cars registered there.

Three cars got seized, along with records, and computers from Kaizo. Included in the three cars seized was the actual hero car from Fast and Furious 4. We will have to see how this plays out over the coming weeks and months.

June 9th , no new updates yet, although I have had contact with a lot of people with concern over what will happen next. It is hard to say exactly what is going to happen. It will all depend on the attorneys office and what charges are brought up.

July 1st, still nothing new except the Kaizo website is down. I have not heard of anyone having any other issues yet, but I still get a few emails a week from people asking questions.

July 2nd , the inital investigation was to check out charges of smuggling and violations of the Clean Air Act. The government always goes after the Clean Air Act. Everything is still in a holding pattern until any actual charges are filed. I also found out besides the "buggy" car that was not impounded(it had a VW engine in it), the black R34 had no driveline in it.

July 10th , I read on Supra forums the following about vehicles registered in New Jersey.

FYI, if you are own a Skyline or any imported non US compliant car in NJ, NJ DMV is going through their database to do visual inspections and document inspection, NHTSA and EPA paperwork, if they are not provided they are suspending the registrations and titles. How do I know? I have a friend who received the letter and spoke with DMV.

EPA regulates the entire vehicle, not individual parts, for cars, light trucks, and motorcycles. If an engine is not installed, and is to be used in a car, motorcycle, or light truck, it may be imported as an automotive part. No approval or Customs bond is required by EPA. Importers should be aware, however, that replacement of an engine in a U.S. version vehicle with an engine of a different type or model year which is not currently covered by an EPA certificate or will be covered by an EPA certificate prior to introduction into commerce may violate EPA regulations.

The EPA regulates only complete cars. It says it right there. They also say that without an engine a body is just a part.

The production, sale and importation of automotive bodies alone (i.e., no chassis, engine or transmission) are not regulated by EPA since such units are not considered "motor vehicles" under the Clean Air Act. EPA form 3520-1 is not required for imported automotive bodies. A motor vehicle from which the engine has been removed is still a motor vehicle and is not considered a body.

So does the EPA even read their own regulations ? A little bit of conflict there. One section says no engine is just a body, and its legal to import. The other section says if it has no engine then its not a body. Do they even know their own rules and regulations ? Does the EPA even have a leg to stand on in court ?

No engine and no transmission is significant in accordance with DOT requirements.

A disassembled vehicle that is shipped without an engine and transmission is treated for importation purposes not as a motor vehicle, but instead as an assemblage of motor vehicle equipment items. Such an assemblage can lawfully be imported into the U.S., provided any equipment included in the assemblage that is subject to FMVSS, but was not originally manufactured to comply with that FMVSS or was not so certified by its original manufacturer, is removed from the assemblage prior to entry into the U.S. Equipment items that are subject to the FMVSS include tires, rims, brake hoses, brake fluid, seat belt assemblies, glazing materials, and lamps, reflective devices, and associated equipment.

That is direct from the DOT website. So as far as importing car parts, or a disassembled vehicle to the US, its legal as long as the parts aren't anything that is covered by FMVSS.

50 comments:

Did they take those three cars? The blue is like what ever, it has a bug motor right? But black one is a BEAST. New parts were just purchased to make it an even better Beast. Damn does that mean FED SCUM are reading the same blogs as enthusiasts. ICE+DOT+CARB= IDIOTS DUMB-ASSES & COWARDS!!!

This is true they are really going nuts about this and they have a list. The pinched a guy in FL and he rolled on everyone! If you haven't gotten it out of the country and sold or hidden you better do it now... I sold mine and am done with this headache.

You guys that think Kaizo was a scam sound scared, much like the guy who rolled in FL. Why don't you fight for what you want? Nothing here is illegal, and just because agents show asking questions doesn't mean you have to lay on your back and show your belly. That's why you'll always be driving lame run-of-the-mill cars.

For those who do have Skylines...Get a lawyer, get some answers, keep your cars and your dignity.

some weird crap. I'm anxious to know why it matters that Skylines are here, now. I mean, 3 years after the Motorex scandal? Plus, technically all M-Rex cars should be safe, right? I mean, they gave them the paperwork saying "we don't like that you're here, but we can't do anything about it."

from what ive read it all boils down to the govt. it should be like signing a waiver release of liability if you have the car here legally and its smogged wherever then all should be good. i understand that you need to have all the structrual upgrades but so what again sign a release and be done with it!!!!!

this crap is as bad as gun control next thing you know the govt. will be coming after those too. if i had a skyline they would have to chase me from here to hell and back with all my guns ablazin and when they did catch me they would have to pry both of them of them out of my cold dead hands. still one day i will own one and to hell and back with the powers that be!!

How legit is kaizo? Are they a legit manufacture? from what i have read, they are not a legit manufacture, i can by look at the vin{s} in the edmunds articles: http://www.edmunds.com/insideline/do/Features/articleId=105699 and when u check the vin "wmi" it doesnt come back to kaizo you can check here :http://www.nhtsa.dot.gov/cars/rules/manufacture/ but when you check other peoples "wmi" it shows that they are listed!? Which explains why you cant register kaizos in any state or even carfax it, thats why i choose to go else where, i suggest "cough" others do they same, god forbid to see bogus paperwork on a car that was "never" manufactured by a "real" kit/car maker!!

We talked a few years ago when you were with Motorex and I have some questions for you. Are you working for JK Technologies? I would like to bring a skyline to the U.S. What needs to be done to do this? I keep getting a lot of conflicting information about what must be done etc. Also if it is not cost effective to bring it in I have a 240sx that I was thinking of just having all the useable parts stripped off of it and brought to the U.S. and building a monster of an S14. Just looking at the two cars side by side they look reall pretty identical, are they built on the same chassis will body panels fit from the R33 onto the S14? Just thinking of the possibility of really making it look like an R33. I know it's probably not an inexpensive way to go either. Also other than JK are there any other RI's that you know of or would recommend that are closer to Miami? Any advice you can give me would truly be appreciated, I am open to either option above or any other options you can give me. I read about what happened in CA and I certainly don't want something like that to happen to me so please if you can spare a few minutes of your time let me know.

Anyone who seizes and crushes a Skyline of the BNR series is definately going to hell. You could probly get away with demolishing the new GTR, but I'm pretty sure Jesus drives an R34. Government agents, beware. The eye of the almighty is upon you. Don't put yourselves in a situation where you will burn in the eternal flame.

well to be honest, i don't care for big brother! Its not their fault they are doing their job! It all starts with who is in office when the RULES where made! Kinda like the same rules your "parents" made! Either u abide by them, or get congress to change them, and seeing how its propaganda, at the end of the day we are all screwed, I own a Kaizo car, and from I understand after talking to Ice, yes they paid a visit, asking questions, seeing that NO mods were done to the car as expected, they are giving me the option to export it out! Now as far as the mods, i was told DOT this and DOT that, and for god sakes my head lights still point off in a the same direction when I was overseas. So basically I'm screwed out of the money to "ship the car" and the money paid to "Daryl", So with that being said it just wasn't meant to be, yes its bullshit! But at the end of the day its called prohibition, so now I know how the "moonshiners" feel and it sucks. "if it can kill u-its legal" "if it doesn't kill you-then its illegal" so go figure?! Booze or a Skyline! Now as far as people say its NOT a SCAM, it is and it inst, you see i owned car while i was in Japan, and i was told the Kaizo process was they way, so I hooked up with Daryl, and off it went. Come to find out he didn't do shit, and charged me out the ass! The bottom line is Daryl fucked us all, and didn't realize it, until it was to late.......So good luck to you all, I now have another headache to deal with aside from getting ready to be deployed.

Hahaha its about time someone dropped the hammer on this dumbshit illegal Kaizo scam that any intelligent person can smell from a mile away. I have no sympathy for anyone who's car gets seized or is forced to export it. If you truly were ignorant of the facts 5 seconds worth of research could have saved you all this trouble before you got in deep over your head and if you knew it was a scam all along and still rolled the dice hoping not to get caught well I've got the world's smallest violin here to play you a sad song.

Haha??? You sound like someone who really, really wishes they had a Skyline and knows they can't have one. I will have an even smaller violin playing for you when I get to keep my Kaizo and you're still a loser. Of course, you'll probably be on some other blog saying, "it's not even a real Skyline, its a just a kit car".

At least, we will have the satisfaction of knowing you are out there, feeling like an imbecile, when Kaizo and its customers are vindicated.

Vindicated? REALLY? PLEASE EXPLAIN HOW? I'D LOVE TO HEAR/SEE THIS 1... GIVEN THE FACT "HIS" SITES ARE DOWN AND THE FORUMS IS GONE, ID HAVE TO SAY THERE'S SOMETHING TO HIDE?! IDK, BUT I THOUGHT ID SMELLED BULLSHIT AND I HOPE EVERYONE SUFFERS! THIS SHIT IS PRICELESS, ALL OF YOU WANNA BE MOTOREX "STYLE" PEOPLE, WELL, ACTUALLY I GUESS THEY WOULD BE CONSIDERED MOTOREX "STYLE" CAUSE THEY FUCKED EVERYONE TO! LOOK AT THEIR TRACK RECORD! DAMN 2 FOR 2 AND ALMOST OUT?

You hope everyone suffers? That's not cool. I guess your just hoping that the skylines are illegal so they don't make your little Honda rice rocket look bad. I don't see how anyone could not want the skylines to be legal. Your just some fairy that needs to get off of this website and stop worrying about whats going on. Go get back on your big wheel and let the grown ups talk.

This link should clarify if Kaizo Industries is really going to be vindicated or not. For all of those who own a Kaizo, mind you that your Kaizo Industries, Inc. company is no longer a business in the State of California. Please visit: https://businessfilings.sos.ca.gov/

Sean,Do you think that the outcome of this Kaizo thing will be a definate YES, or NO ruling on the Kaizo unibody? Or will it still be like... maybe its legal (parts), maybe its not (completed car)?

In other words, do u think we can expect a difinitive answer by the Government as to the Kaizo unibody?

It would suck if they ruled YES TOTALLY ILLEGAL (was about to buy one myself), but would suck worse if the answer was wishy washy and anytime they get a bug up their ass, they can just raid your place and take your kit car and "find" something illegal.

well at the end of the day its sad, but its a lesson learned. play with fire and you get burned. u have to keep in mind that this kaizo thing is NO secret, everyone claiming legal this and that, someone is BOUND to check it out, and they did! At the end of the day it doesn't matter, reason being is the cars didnt come to the US in the PROPER fashion as SEAN puts it. You see along time ago people would claim it needs to be done by an "RI" which is true, but people would charge an arm,leg, and a left nut.. SO people exploited a alternative route, its like saying you cant do that "to a kid" and guess what? Everyone did it and those who got caught suffered, period! What makes it worse is from what I have been reading is, KAIZO should have never issued any MSO period, they "KAIZO" is a "FAKE" and it makes the issue worse than it may seem, so all I can say is GOOD LUCK TO those who are tied to this!

It is always interesting to read and compare old and new threads that were posted, especially by this user: BmwNeoType who's real name is Ganesh. He is some stupid Indian who said "Kaizo cars, Motorex Cars, Bond release cars will never be touched by this kind of activity" on Jun 14 2008, 06:15 AM. One year later, we are now seeing a very different picture to what Ganesh had been preaching last year. Kaizo's illegal operation screwed the pooch and Daryl made his money by selling cars he bought from Japanese auction houses like USS Tokyo, to say the least. He will now have to deal with the government with their unlimited resources. For those who wish to file a law suit against this former Orange County Sherriff, it maybe too late to do so because he has already dissolved his business "Kaizo Industries, Inc."

What Daryl has done is brought upon himself, the people who were helping him, and his customers a major headache. This is a very serious case with very serious charges that could be brought against Daryl. If anyone else is found to have been a co-conspirator to any of the sales, advertising, and or taking possession to deliver any said "unibody" and or "engine" for the company Kaizo to a customer, then the government will also seek federal conspiracy charges against them. They will focus on any signatures, affidavits, money wire transfers to and from, online forum postings, advertisements, promoting, phone conversations (if any were recorded), and actual photographs of sales taking place. They probably already have enough evidence from the computers, records and the 3 vehicles they seized from his place of work. By going after his clients, they are only fortifying their case against Daryl. It is inevitable that they will bring charges against him. Refer to the list of possible charges that maybe brought against him:US Federal Codes:

If Daryl had committed one or more of these charges, then he will receive an indictement for all of the charges listed above or more as deemed fit by the US Attorney's office. Lastly, for all of the people on these forums and or any other blog site informing people that they should hide their cars or sell them or what have you, they are all disrupting justice and will also be federally charged. Mind you that all of these charges and more when on a federal realm are treated as felony charges and can only be pardoned by the president of the USA. There is no way that you can even file at a later point in time for a dismissal of your previous charge if convicted.

Paul Dentise also known as Paul2x the guy with Daryl's first generation illegal "Nissani" Nissan Silvia S15 that is illegally registered in Arizona stated this on the supra forum stating that charges would have been made and a case would have been put together is not always the case here (referring to Daryl's case). But Paul, it is a matter of time as Sean Morris will tell you. Also, Paul, your lack of knowledge and your quickness to respond in the fashion that you have only tells me that you are a) in denial of your own car being illegal, b) lack of knowledge about the law (at least in this matter), and c) your HUGE ego. The government is not some roadrunner to finish a case in a few days. This case will take Daryl on a long and torturous nightmare which he could have prevented, but didn't. Instead, he was suffering from what all US entrepreneurs go through, which is greed! He was not challenged by anyone because everyone regarded him as the "all-knowing" former Orange County sheriff who had also spoke on behalf of the MADD (Mothers Against Drunk Driving). Now that he is challenged, you are quick to defend him because why? You have purchased a piece of his property which is stained with bad import blood! So next time you open your Huge ego on these forums, you should really knuckle down and secure your own car by possibly working out a deal with the US government. You may be able to cut a deal with them and possibly end up keeping your car if you can testify against him. Maybe all of us should think about saving our own ass and just put the blame on Daryl who has been from the get go only worried about making that money! One more note, Paul, you say being criminally charged and being investigated are totally different things. In fact, they are Totally Connected! Criminals like Daryl and his facade was initially investigated to see if there was a case against this criminal, and once the govt. had the evidence which pointed to even a little thing like the intent, yes the "INTENT" to do any of the crimes I have posted above gives the US govt. the authority to seek criminal charges against the criminal Daryl.

Well, the gov doesn't care about parts, Right? So wouldn't a very clean and simple solution (for the "kit cars") be to pull the engine and trans and gut the thing?

It would then be just parts.Stick the frame in your closet, or under your bed for another few years (if you have an R32), and voilla! Skylines are legal in the US (grandfather rule is 25 yrs)again! get all the latest and greatest stuff put in, and Godzilla (like always, when the gov tries to kill him with everything they got) RETURNS!!!

What the hell is the matter with you guys? Calling each other out in public, mud-slinging, fighting, etc.... It's foolish, a waste of time, and does absolutely NOTHING good for you!

My guess, is that most of the inflammatory remarks here are probably posted by either Kaizo owners, or state-legal Skyline owners.

Don't you realize that the only chance you have at keeping your cars is (not by talking shit about people you ought to consider your team mates, and comrades) to COME TOGETHER.....RIGHT NOW!!!!

There is strength in numbers, and you're dealing with the Feds here. None of you stand a chance alone. Not even with a good lawyer. Who has the money to fight such a fight? ....however, if say every single state legal skyline owner comes together (say there's 300-500 of you), and you each put in a grand or two, well.... thats a SHITLOAD of money!! That's the kind of cash that gets you noticed and gets shit done!! For that kinda cash, I know for a fact that multi million dollar law firms (the BIG BOYS)will definately pick up the ball and run with it!!! Maybe they'll run the ball all the way to Washington for you.

People are coming together right now. Lots of behind the scenes things going on right now. There are a lot of people talking and organizing.

I am helping out with what I can, when I can. Anyone wanting to be involved, helping, maybe contributing to the fight, send me an email.

Fighting for something like this is not easy, but its also not unwinable. Things can be changed, and have been changed in the past. Show or Display , 25 years old, waivers. Its all possible, but I want to see one strong voice, than 50 weak ones.

I spoke with SEMA several weeks ago regarding the investigation. I am still waiting for a return call or email. I call about once a week. Anyone here have a contact with SEMA? I've been contacting their legislative division.

Why is it that in Canada they have the 15 year rule just like we have the 25 year rule and in some provinces in Canada have more strict rules for imports just like here in the U.S. like Florida vs Cali but in Canada they don't have the feds running around seizing cars and in fact regardless of the all the rules/laws of different provinces the federal government in Canada called Transport Canada let the cars in even if the destination province has high import rules but in the U.S. the Federal Government is over riding what the 50 states are doing. Florida doesn’t give a shit about the cars so how can you violate an EPA rule if the car is in Florida that doesn’t require emissions testing. You can't violate a law that doesn’t exists in your state can you? Therefore it would be unnecessary to Federalize a car that is in a state where most of the federalizing process/work doesn’t apply to the state for with the car will be registered. Again if the Feds say well the car has to pass emissions even in Florida because the car owner can then travel to Cali to visit and therefore violates the smog, clean air act. So I guess we should stop border travel from Canada because how man cars including someone who wants to visit the U.S. in his R32 violate the clean air act at the time of the visit. Doesn’t make sense. The fact of the matter is it has nothing to do with emissions nor safety, it’s about protecting the local auto makers. Common sense would say that a 25 year old car is not more safe for the street or emissions then importing a newer car from Japan like the R35 etc.. So let’s continue… Even though I’m going to talk about Canada at this point the topic is very similar to the U.S. BTW Anyone in Cali doesn’t need to have a Skyline pass the clean air act if the motor is swap with a North American produced engine.

1. The Government Should Protect The Consumer's Right To ChooseOne of the many examples that most closely resembles this issue is satellite television.It is currently illegal to even subscribe to a US satellite provider.

What does this have to do with the 15-Year Rule? We believe the answer is simple, local television and satellite providers have lobbied our government to ensure they face less competition and gain more market share. Simply put, the television providers are doing their best to keep a strangle hold on our near-monopoly in television providers.

If you could buy better and cheaper satellite from the US, you probably would right?

The same example applies to the importation of used cars from Japan and abroad.Car dealerships have lobbied our government in order to stop even 15-Year old cars in better shape than cars available locally from arriving on our shores.2. Safety Is Not The Issue

Transport Canada and some other Insurance Agencies (namely ICBC) have tried to say their main issue and concerns with JDM Japanese Used Car Imports are "safety" which is their explanation for why the car must be 15 years or older, or for the proposed change to 25 years.

This to us does not make any sense for the consumer or under any kind of logic, unless you are a company or organization who stands to benefit by having less cars on the market.

All of the imports coming in have met the safety standards in their own country and most come with equivalent safety features that cars from our market had 15 years ago. Further, in comparison to some cars that were already available in Canada, some of the JDM (Japanese) counterparts had enhanced safety features such as Traction Control Systems (TCS) of which till this day no North American model has had. A good example is some JDM Integra's having traction control whereas no Integra in North America ever had it.

Even if one can argue that 15 year old or 25 years old Japanese cars are really unsafe, why would you allow them? We know the stand point of the TC (Transport Canada) that they believe restricting the importation of such cars deters people from wanting to import such cars but does it make sense?

The bottom line to us, is that if the older JDM cars are not deemed safe enough by our government then they should let much newer vehicles into this country, ones that have even better safety standards than the old ones and likely more safety features than the current North American models. However, this was never an idea, option or a proposal in the legislation change, their only proposal is to increase the age limit to 25 years, thus making it nearly impossible to import a decent JDM car.

What's more is that the average JDM car that is 15 years old is in better condition, has less mileage and is overall safer than a 15 year old used car on our local market.

If we go further, many countries in Europe and Asia allow a mixture of local and import cars of LHD and RHD on the road with no evidence or studies proving that their domestic or imports differ in their crash or safety statistics.

So if safety is the only complaint the government has and there is a way to resolve it by allowing newer JDM cars which are certainly much safer, why don't they? The answer is pretty obvious, and although our government has a duty to protect our economy, it must also understand that in our democracy and free market, consumers have the right to choose the best car for their money, rather than the dealerships having the right to sell the worst car for the most amount of money.

3. There Is No Reliable Proof That These Cars Pose Any DangerOf all the countries who have a mixture of local and imported cars, it's only ICBC that has come to the conclusion that RHD imports supposedly pose a danger. In 2007 they released a report which they admit is certainly not conclusive that supposedly RHD Imports are at a higher risk of a crash.

However, there are many discrepancies in this report and the Imported Vehicles Owners Association of Canada (IVOAC) and others have found many causes for concern in ICBC's report, thus demanding the raw data of the statistics under the Freedom of Information Act.

To summarize, ICBC made no effort to ensure the comparison between imported and domestic cars was unbiased and accurate. For example, it is well known that high performance cars such as Mustang's, BMWs, Ferrari's, Viper's etc are much more likely to be in a crash, however it appears their study compared the performance monster, Nissan Skyline to cars such as the Nissan Sentra (a small and slow family sedan). In fact, any study that was conducted in such a manner is bound to be inaccurate considering that the majority of cars being imported tend to be high performance, turbocharged cars which by their very nature would account for a higher accident rate, just as local performance cars are more likely to be involved in an accident.

This is just at a first glance but one can see how any study based on such a premise is inherently flawed.ICBC later admitted to the press that the study is not conclusive or perfect, yet for some reason they released it knowing the implications it would have on the owners of JDM Imports. What's more is that many other insurance agencies began to refuse to insure such vehicles, citing ICBC's flawed study as the reason, a result which ICBC must have known would occur as a result of the study.

As far as anyone can tell, the only motivation to release such a flawed study would be to devalue and further deter people from purchasing and importing more JDM cars to compete with the local market. As most people are aware of, with the onslaught of cheaper American cars, local car dealerships are doing their best to deny warranties and ensure people are deterred from bringing cars from the United States in order to protect their marketshare.

There are few countries who have such tight restrictions on the importation of vehicles and in fact many countries such as Kenya depend on JDM Imports because they are known for their value, reliability and safety. They also commissioned local Japanese agencies to ensure the cars being exported are safe. In reality, Japan has far more controls and safety regulations to ensure their used cars are road worthy, this is known as Shaken and it is a strict safety test to ensure the car is in proper and safe working condition.

Even the way the Japanese auction their cars is more honest and accurate compared to North American car auctions, where every scratch and sign of an accident or repair is reported and disclosed regardless of the total damage.5. The 15-Year Law or Proposed Changes Only Benefit DealershipsWe hope that anyone reading this has come to the very obvious conclusion that the only interest in disallowing such cars to be imported is not in the interest of the public or the consumer. This appears to be another desperate move by the car industry to maintain their profits and marketshare on a very tough market.

If safety is the issue with these cars then the government should not allow such old vehicles to be imported. It makes sense to only allow 10 year old cars in and to allow the newest cars from Japan to directly enter our shores which would instantly alleviate and resolve any outstanding or debatable concerns on safety.

Just another quick question, do you think that the recent JDM seizer activity as anything to do with the Auto bailouts? I mean I guess all the millions the Federal Government invested to keep the auto makers alive would be threatened if people were importing more desirable vehicles from other Counties instead of buying them locally and supporting the local market. Just a thought.

I think the federal Government should stick to budget issues, national security, health care and such and let the individual States worry about what's on their soil. The JDM cars like the Skyline should not be required to be Federalized but be regulated in the it’s State for which it’s registered as it is like in Canada.